Veteran Gambler Is Indicted In Alleged Racetrack Scheme

Veteran Gambler Is Indicted In Alleged Racetrack Scheme

A professional gambler has been indicted by a federal grand jury in a racetrack scheme that allegedly involved cashing other bettors’ tickets and obtaining refunds from false tax returns.

The activities of James J. Greulich of Huntington Beach took place at the Del Mar, Santa Anita and Hollywood Park tracks in 1995. Greulich, 53, who is known around the tracks as “Jimmy the Mouth,” allegedly cashed winning tickets for people who made the bets, paid taxes on the payoffs and then collected a commission from the original bettors for his services.

At the track, such operatives are known as “10-percenters,” because of the commission they sometimes charge their customers. When 10-percenters file their IRS returns, they can reduce the tax on their winnings by showing gambling losses.

Tax records showed that Greulich’s gross income for 1995 was $2.2 million. One of his associates, who became an unindicted co-conspirator, filed a federal tax return that listed gross income of more than $900,000. The indictment says that Greulich’s associate, after receiving a $167,995 IRS refund, passed on $140,000 of that amount to Greulich.

When winning tickets total $5,000 or more, and represent payoffs at odds of 300-to-1 or higher, racetracks act as agents for the government and collect a 28% tax on the payoffs. Jerome Friedberg, an assistant U.S. attorney, said Greulich would approach bettors whose winning payoffs were to be taxed.

The seven-count indictment, issued Tuesday, charges that Greulich’s scheme allowed him to file tax returns that contained both substantial income and large losses relating to gambling activities.

Greulich’s 1995 income was bolstered by a winning ticket that apparently was not part of any scheme. According to a federal investigator, Greulich cashed a Pick-6 ticket at Del Mar in September of ’95 for a track-record $1 million.

Richard Anderson knew my husband had no knowledge of matters involving a lawsuit filed by his cousin. He accused him of fraud and conversion of funds. My husband wasn't even residing in CA and hadn't been for 2 years. After another 2 years, it was dismissed against my husband and another party because he knew they weren't involved and he had no evidence of the allegations. This after spending hundreds of dollars. I would never recommend this attorney to anyone.

Jeff LeBlanc is an experienced attorney that can handle your situation at a reasonable price. I had a contract dispute that Mr. LeBlanc handled with perfect results. I recovered all the money I was owed and he did it quickly. I'd recommend Jeff LeBlanc to anyone that needs an attorney.

Jeff LeBlanc's Avvo Rating

AVVO Reviews

Sister State JudgmentSometime ago I contracted with a California company to provide service to my Oregon business. After having paid them for service and never receiving it in the end I filed a lawsuit against them in Oregon and was awarded a Judgment. Needing to have this registered in California a friend in the area recommended the law firm of Anderson LeBlanc to me. I worked with Jeff LeBlanc and he promptly had the Judgment registered in California. The defendants then tried to have my Judgment vacated and used a “shotgun” approach to what they submitted to the Court, claiming I had committed fraud, statutes of limitations had expired, Oregon had no jurisdiction, service was improper, I had never asked for a refund, and much more. They also threatened action against myself and Jeff. To counter this barrage of claims Jeff invested substantial time and effort into a comprehensive response. The Court ruled in our favor, stating that he had provided “compelling” arguments why the Judgment should not be vacated. I would recommend Jeff and the firm of Anderson LeBlanc to anyone needing and attorney.Estate SettlementJeff's knowledge and understanding of the law saved us months of red tape and expense. His professionalism and expedient action made it possible to receive all money due us which was being held because of legal technicalities.Civil/Neighbor HarassmentI found out about Mr. Leblanc as a referral. I was having issues with a neighbor that was yelling and throwing items over the fence dividing our property. He even went as far as going to my job in an attempt to have me fired. Mr. Leblanc was very helpful, understanding and knowledgable. After years of dealing with this he was able to fix the situation in a matter of weeks. I am happy to say that I have had no further issues with the neighbor. I would recommend Mr. Leblanc without hesitation.